AK HB395

Requires automobile liability insurance policies with uninsured or underinsured motorist coverage to include a mandatory arbitration provision for disputes over damages or the right to receive damages.

Establishes a three-arbitrator system where the insured person and insurer each select one arbitrator, and those two arbitrators select a third arbitrator within 30 days.

Allows the presiding judge of the judicial district where the insured person resides to select the third arbitrator if the two arbitrators cannot agree within 30 days.

Specifies that arbitration must take place in the judicial district where the insured person resides and must follow the Revised Uniform Arbitration Act (AS 09.43.300 - 09.43.595).

Exempts uninsured or underinsured motorist coverage disputes from the mandatory appraisal requirement in AS 21.89.035 and applies to policies issued or renewed on or after the effective date.